Indluplace enters KZN market in R43m deal
INDLUPLACE Properties, the listed focused residential property company, has entered the KwaZulu-Natal market with the acquisition of two buildings for R43 million.
Carel de Wit, the chief executive of the company, said the two buildings were at Durban’s South Beach and Greyville.
“The acquisition in KZN means that we will have properties in four provinces. This is part of our strategy to build a diverse residential portfolio with a national footprint.
“We have looked at some properties in KZN before, but were unable to conclude transactions that satisfied all our criteria. We have seen that the rental market in the larger central region is strong and offers good long-term opportunities,” he said.
De Wit said they intended to continue their aggressive growth of the last few years into the future in South Africa with KZN being part of their plans.
Indluplace last week concluded an agreement with well-known private equity and investment consortium Buffet Group, to acquired 2 914 residential units with 3 400m² of associated retail space for about R1.4 billion. The portfolio comprises 51 properties-mostly spread across Gauteng.
The majority of the properties comprise suburban blocks and town house complexes. About half of the portfolio to be acquired consists of two-bedroomed apartments with the balance spread between oneand three-bedroomed units, bachelor units as well as rooms.
The average rental across the residential units is about R4 300 a month.
“The Buffet Group has substantial investments in the property sector across the country and we believe this transaction provides a good platform for further transactions with the group,” De Wit said.